Period 4 Finance and Banking Vocabulary Flashcards

Practice questions and answers based on the vocabulary for investing, banking, finance, and insurance, including English-specific grammar rules and irregular verbs.

What is a debenture?

A promise made by a company or a government to repay money that has been lent to the company/government, usually paying a fixed rate of interest.

Do debenture holders have the right to vote in general meetings?

No, debenture holders have no rights to vote in the company's general meetings of shareholders.

When is interest on debentures paid in relation to dividends?

This interest is paid before dividends are paid to shareholders.

What are securities?

Securities include bonds and shares.

What term describes a deal or business that is very profitable?

Lucrative.

According to English punctuation rules for numbers, how are thousands and decimals formatted?

A comma is used for thousands and a point is used for decimals.

What is the British title for the Minister of Finance?

The Chancellor.

What is the name of the Chancellor's department in Britain?

The Treasury.

How is liquidity defined in the text?

Liquidity is the ability to find cash when you need it.

What does it mean for a company to be solvent?

It means the company is creditworthy and it is safe to lend them money.

What does it mean 'to afford' something in English?

To be able to pay for it; the Dutch equivalent 'zich' is not translated in this context.

What are two informal words for 'to fail' or 'to go bankrupt'?

To go bust.

What is a mortgage?

A loan taken out in order to buy a house, often using the house as security.

What article must precede the word 'internet' in English?

The word 'the' (e.g., 'on the internet').

What is an arrangement fee?

A fee charged by a bank for setting up a mortgage.

What is the purpose of a letter of complaint?

To express dissatisfaction to a department, such as customer service, about poor service or problems.

Based on the text, what is the meaning of 'to do one's utmost'?

To do one's absolute best to handle a complaint or improve service.

What is the difference between an insurer and the insured?

The insurer is the company providing the insurance, and the insured is the person who is covered by the policy.

What should you do immediately if you experience a theft, such as the theft of a camera?

Report the theft to the police.

What term is used for high-value items like jewels and laptops in insurance policies?

Valuables.

What are the past tense and past participle forms of the irregular verb 'sink'?

The past tense is 'sank' and the past participle is 'sunk'.

What are the past tense and past participle forms of the irregular verb 'strike'?

The past tense is 'struck' and the past participle is 'struck'.

What are the past tense and past participle forms of the irregular verb 'tear'?

The past tense is 'tore' and the past participle is 'torn'.